IURC News Release

Contact:Mary Beth Fisher

For Immediate Release

March 14, 2001

LOGANSPORT ELECTRIC
TO REDUCE RATES

Today
the Indiana Utility Regulatory Commission approved a request by the Logansport
Electric Utility to change its fuel cost charge for April, May and June.

The bottom-line in Cause No. 38705-FAC 50, means electric
customers will see their bills decrease.The average customer, who uses 1,000 kWh per month, should see savings
of about $5.93 on his or her bill.

Even
though the Commission approved an increase in the fuel cost charge to be
applied in the next quarters’ billing cycle, it found that the company
over-collected its costs for October, November and December 2000.The reduction is the result of the
reconciliation of those costs.

The approved rate is subject to refund if the Commission finds
that the company has over-earned when actual costs for April, May and June are
determined.

Logansport
Electric is still operating under restraints form the Environmental Protection
Agency and must purchase coal with low sulphur content.The company purchases approximately 55% of
its power from PSI Energy.The
remainder is self-produced. The evidence shows that the company has made every
reasonable effort to acquire fuel and generate or purchase power to provide
electricity to its customers at the lowest reasonable price.